greeley q1 2020€¦ · 22/4/2020 · office market report market key statistics 2 leasing 3 rent...

GREELEY

MARKET REPORTOFFICE

Q1 2020

303.321.5888 UNIQUEPROP.COM

FULL-SERVICE COMMERCIAL REAL ESTATE SOLUTIONSPrivately-Owned and Operated for Over 40 Years

OFFICE MARKET REPORT

Market Key Statistics 2

Leasing 3

Rent 7

Construction 9

Under Construction Properties 10

Sales 11

Sales Past 12 Months 12

Economy 14

Market Submarkets 17

Supply & Demand Trends 19

Rent & Vacancy 21

Sale Trends 23

Greeley Office

4/22/2020Copyrighted report licensed to Unique Properties, Inc. - 1130503.

OverviewGreeley Office

24.8 K (21 K) 3.2% 2.3%12 Mo Deliveries in SF 12 Mo Net Absorption in SF Vacancy Rate 12 Mo Rent Growth

The coronavirus pandemic is having an unprecedentedimpact on the national and local economies. Joblessclaims due to shutdowns are skyrocketing as stay-at-home orders force non-essential businesses to shutteracross the state. The health of commercial real estateand the economy virtually hinges on the mitigation effortsto slow the spread of the virus.

Fiscal and monetary stimulus was quickly enacted andshould provide a bridge for many people and businessesimpacted by the crisis, at least in the short-term. TheGovernor's stay-at-home orders were extended throughApril 26, with the possibility of further extensions.

The last time oil prices fell this low in 2016, the localeconomy felt the impact. An oil price war between SaudiArabia and Russia caused prices to plunge to $20 abarrel in March, an 18-year low. Oil prices remain weakand demand has fallen off a cliff due to the coronavirusshock. In early April, the U.S. and Mexico agreed to cutoil production along with OPEC+, which should helpreduce volatility to a degree. We will be updating ouranalysis frequently as more information becomes

available. The current report largely reflects theenvironment before the pandemic.

Minimal new development alongside consistent demandfrom a host of smaller tenants translated intoexceptionally tight conditions: The vacancy rate wasaround 2.5% moving into the first quarter of 2020.

The availability rate did increase when State Farm isopted not to renew its lease at a 150,000 SF building inits three-building 460,000 SF regional campus, locatedin the far west of the city of Greeley proper.

With the market effectively at capacity, rents continued topost solid gains. Rents were growing above the long-term average at the start of 2020.

Aside from one large oil-related office delivery early inthis cycle and one large medical office currentlyunderway, development has been limited to severalbuildings in the 10,000 SF range, generally catered tomedical office tenants.

KEY INDICATORS

Market RentVacancy RateRBACurrent Quarter Availability RateNet Absorption

SFDeliveries SF

UnderConstruction

$29.940%629,7104 & 5 Star 24.5% 11,822 11,822 0

$21.994.3%2,425,7473 Star 6.6% 2,471 0 24,000

$14.423.1%2,604,8531 & 2 Star 4.2% (6,204) 0 0

$19.403.2%5,660,310Market 7.5% 8,089 11,822 24,000

ForecastAverage

HistoricalAverage

12 MonthAnnual Trends Peak When Trough When

3.3%6.2%0.8%Vacancy Change (YOY) 12.5% 2002 Q3 0.4% 1999 Q4

27,976109,576(21 K)Net Absorption SF 446,461 2003 Q1 (137,264) 2002 Q3

19,867119,23124.8 KDeliveries SF 462,868 2003 Q1 9,048 2010 Q1

0.8%0%2.3%Rent Growth 7.6% 2015 Q1 -9.4% 2010 Q1

N/A$28M$47.5 MSales Volume $142.4M 2015 Q1 $0 2004 Q1


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LeasingGreeley Office

The work-from-home movement during the pandemic issaving a lot of jobs in metro’s with strong office markets.Greeley’s stable fundamentals should help soften theblow to the local economy as offices shut down acrossthe state following the Colorado Governor’s stay-at-home order effective from March 26 until the secondweek of April, and likely longer.

Greeley was on solid footing heading into 2020. Thevacancy rate ended the previous year at all-time lowsand well below the metro's long-term average as well asthe national benchmark. Net annual absorption waspositive for the past eight years.

The availability rate did jump when State Farm opted notto renew its lease at a 150,000 SF building in its three-building 460,000 SF regional campus, located in the farwest of the city of Greeley proper. Notably, the firm is notmaking material reductions to its headcount, but isinstead consolidating its employees into more a more

efficient space design at its remaining 310,000 SFspread over two buildings.

That space represented the first contiguous availability ofat least 50,000 SF stretching back more than five years,let alone 150,000 SF. The space single-handedlyrepresents about one-third of the available space in themetro, and was recently listed for $15/SF triple-net.

The fact that Greeley weathered the oil price downturn inlate 2014 without a more significant impact onfundamentals is impressive. The metro has a higherconcentration of natural resources and miningemployment than Houston. Moreover, Weld County is thesource of more than 75% of Colorado’s oil production.Although Greeley has held up with weaker oil prices inthe past, market conditions have drastically changed.The oil price war between Saudi Arabia and Russiathreatens to oversupply oil markets, and social distancingpolicies are slashing demand for oil and gas.

NET ABSORPTION, NET DELIVERIES & VACANCY


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VACANCY RATE

AVAILABILITY RATE


Page 4


12 MONTH NET ABSORPTION SF IN SELECTED BUILDINGS

3rd QtrBuilding Name/Address Submarket Building SF Vacant SF

1st Qtr 2nd Qtr 4th Qtr 12 Month

Net Absoption SF

Weld County 11,822 0 0 11,822 0 0 11,822Greeley Endoscopy Center

Weld County 10,000 0 0 0 0 0 10,0001831 65th Ave

Weld County 7,496 0 0 4,060 0 0 4,494BitterSweet Square Bldg 2

Weld County 22,518 6,071 0 0 0 0 3,800Greeley Clinic

Weld County 8,400 4,035 0 0 0 0 3,285Highland Park Office Complex

Weld County 15,091 0 0 2,482 0 0 2,4824645 W 18th St

Weld County 10,527 0 1,841 0 0 0 2,1441919 65th Ave

Weld County 2,011 0 0 0 0 0 2,0111228 8th St

Weld County 21,000 1,200 0 0 0 0 1,971Courtside Square (1)

Weld County 22,343 498 791 0 0 0 1,895Del Camino Junction Bus

Weld County 5,032 0 0 0 0 0 1,760360 Oak Ave

Weld County 12,000 0 0 0 0 0 1,588Mountain Vista

Weld County 11,518 0 0 0 0 0 1,578Huwa Building

Weld County 5,380 0 0 0 0 0 1,400Courtside Square (2)

Weld County 6,053 0 0 0 0 0 1,319918 13th St

Weld County 9,776 0 0 0 0 0 1,236Platte Valley Medical Plaza

Weld County 8,851 0 0 0 0 0 1,141BitterSweet Square Bldg 5

189,818 11,804 2,632 18,364 0 0 53,926Subtotal Primary Competitors

5,470,492 172,024 (42,190) (10,275) 0 0 (74,911)Remaining Greeley Market

5,660,310 183,828 (39,558) 8,089 0 0 (20,985)Total Greeley Market


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TOP OFFICE LEASES PAST 12 MONTHS

Building Name/Address Submarket Leased SF Tenant Name Tenant Rep Company Leasing Rep CompanyQtr

Sekich Business Park Weld County 18,400 Enservco Cresa JLLQ2 19

Bank of Colorado Weld County 6,242 - - Realtec Commercial R…Q1 20

BitterSweet Square Bldg 2 Weld County 4,060 Autism Support Systems - LC Real Estate Group…Q1 20

385 Justin Ave * Greeley 3,000 First National Bank Cresa -Q2 19

1349 Water Valley Pky Weld County 2,856 Water Valley Dental - Wheeler Properties, IncQ4 19

Courtside Square Weld County 2,600 - - Hayden Outdoors-Colo…Q2 19

Greeley Technology Center Weld County 2,344 - - RE/MAX Commercial A…Q1 20

Hiland Park Weld County 2,148 Bighorn Construction and… - Realtec Commercial R…Q4 19

Windsor Manor Centre Weld County 2,010 - - Pepe-Samsam Investm…Q1 20

Del Camino Junction Bus Weld County 1,895 Buildings by Design NavPoint Real Estat… Gibbons-White, Inc.Q3 19

360 Oak Ave Weld County 1,760 - - Realtec Commercial R…Q3 19

BitterSweet Square Bldg 5 Weld County 1,547 Eclipse Software - Doberstein Lemburg C…Q4 19

BitterSweet Square Bldg 5 Weld County 1,506 Gateway Mortgage Group Whitebox Real Estat… LC Real Estate Group…Q2 19

Courtside Square Weld County 1,400 - - Hayden Outdoors-Colo…Q2 19

Tommy C's Square Weld County 1,372 - - Wheeler Properties, IncQ3 19

Independence Square Greeley 1,300 - - RE/MAX Commercial A…Q4 19

Tommy C's Square Weld County 1,252 Legacy Builder - Wheeler Properties, IncQ1 20

Water Valley Village Greeley 1,200 Crossenergy Inc. - Cushman & WakefieldQ2 19

515 Briggs St Weld County 1,200 - - Market Real EstateQ4 19

Indian Peaks Indust. Park Weld County 1,050 TorcSill Foundations, LLC C3 Commercial Cushman & WakefieldQ4 19

Indian Peaks Indust. Park Weld County 1,050 New Hope Behavioral Ce… - Cushman & WakefieldQ2 19

Miners Square Weld County 1,000 - - RE/MAX MomentumQ3 19

1001 29th Avenue Ct Weld County 850 Don Oscar Barbershop - RE/MAX Commercial A…Q2 19

The Greeley Building Weld County 831 - - Thomas & Tyler, LLCQ1 20

900-920 9th Ave Greeley 800 - - Jessie JacobsQ1 20

918 13th St Weld County 789 - - Realtec Commercial R…Q3 19

918 13th St Weld County 789 - - -Q2 19

8310 Colorado Blvd Weld County 748 - - North Forest Office Spa…Q2 19

918 13th St Weld County 700 - - Realtec Commercial R…Q1 20

Windsor Manor Centre Weld County 594 - - Pepe-Samsam Investm…Q2 19


Independence Square Greeley 434 - - RE/MAX Commercial A…Q2 19


1919 65th Ave Weld County 400 - - Wheeler Properties, IncQ2 19




Independence Square Greeley 256 - - RE/MAX Commercial A…Q1 20

Tommy C's Square Weld County 250 - - Wheeler Properties, IncQ3 19

Tommy C's Square Weld County 250 - - Wheeler Properties, IncQ3 19

Renewal


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RentGreeley Office

With leasing activity likely coming to a grinding halt in thenear term, rent observations will be increasingly rare tocome across. However, tenants willing to test the watersin this time of uncertainty may be able to take advantageof space on the market as valuations become moredifficult to gauge.

Office rents have surged across many Front Rangemetros this cycle, but have largely missed Greeley.Exposure to volatile oil markets could be to blame. Rentgrowth peaked this cycle in 2014, right before the oildownturn, and have been fairly pedestrian ever since.

The Greeley office market was as tight as it has ever

been entering 2020, and landlords theoretically wouldhave wielded the upper hand in negotiations pre-pandemic. Out of just over 200 metro areas with at leastfive million SF of office space, only a handful had a lowervacancy than Greeley.

One of the only recent deliveries not catered towardsmedical-office users was a 12,000 SF partiallyspeculative office that is anchored by a 6,000 SF Bank ofColorado. The rest of the space had been on the marketfor $22/SF triple-net, but were later dropped to $19/SFNNN. Even after the rent reduction, this was still themost expensive office space for lease in the metro at thetime.

MARKET RENT GROWTH (YOY)


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RentGreeley Office

MARKET RENT PER SQUARE FOOT

4 & 5 STAR EXPENSES PER SF (ANNUAL)

Utilities Cleaning InsuranceMarket / Cluster Taxes Other Total

Greeley $0.97 $0.15$0.46 $6.87 $4.92 $13.37

Weld County $0.97 $0.15$0.46 $6.87 $4.92 $13.37

Expenses are estimated using NCREIF, Trepp, IREM, and CoStar data using the narrowest possible geographical definition from Zip Code to region.

3 STAR EXPENSES PER SF (ANNUAL)


Greeley $0.81 $0.11$0.41 $3.55 $2.57 $7.45

Weld County $0.81 $0.11$0.41 $3.55 $2.57 $7.45


1 & 2 STAR EXPENSES PER SF (ANNUAL)


Greeley $0.54 $0.11$0.41 $2.41 $1.07 $4.54

Weld County $0.54 $0.11$0.41 $2.41 $1.07 $4.54



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ConstructionGreeley Office

The Colorado Governor's stay-at-home order considersjobs in the construction industry as “essential or critical”,which would allow developers to move forward withprojects if they choose. Deteriorating economicconditions could keep upcoming groundbreakings onhold, and speculative projects slated to deliver in 2020must grapple with the uncertainty of demand. Given theremarkable fluidity of the coronavirus outbreak, it is notout of the realm of possibility that construction jobs couldeventually lose their essential business designation.

Since the beginning of 2014, the office inventory hascumulatively expanded by just under 2%, the lowest level

in the Front Range outside of Colorado Springs, wherethe inventory has expanded by less than 1%. Of thebuildings that have delivered since 2015, all but one wassmaller than 13,000 SF. Many of these smaller buildingsare catered towards medical office tenants.

One of the only traditional speculative offices recentlydelivered was a 12,000-SF building anchored by a6,000-SF Bank of Colorado. This development is fivemiles due west of downtown Greeley, in an areaexperiencing rapid growth alongside active single-familydevelopment.

DELIVERIES & DEMOLITIONS

SUBMARKET CONSTRUCTION

Average Building Size

RankUnder Constr

Under Construction Inventory

All Existing{0} 000 Pre-Leased SF (000)SubmarketNo. RankBldgs Pre-Leased %

1 Weld County 1 24 24,000100% 1 9,59424 1

Totals 1 24 24,000100% 9,59424


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Under Construction PropertiesGreeley Office

1 24,000 0.4% 100%Properties Square Feet Percent of Inventory Preleased

UNDER CONSTRUCTION PROPERTIES

UNDER CONSTRUCTION

Property Name/Address Rating Bldg SF Stories Start Complete Developer/Owner

Jun 201911521 21st St

Highpointe Office Building24,000 2 May 2020

-

PB Roche Solutions1


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SalesGreeley Office

Based on CoStar's Market Pricing Trends, valuescontinued to rise at a modest pace. At the same time,cap rates have remained relatively flat as they have forthe past five years, but at more than 8%, the yields aresome of the highest in the Front Range. Most recentdeals have involved small office buildings valued under$1 million, but there was a major trade for one of the fewGreeley assets with more than 100,000 SF of officespace.

In September, CIM Group acquired OccidentalPetroleum's 115,000 SF office building in Platteville (in

the Denver-Julesburg Basin) for approximately $32.3million ($282/SF). The building delivered in Platteville in2014 and was fully occupied by Occidental, which usesthe space as a mission critical operations center.

A trade for a building within the BitterSweet Square officepark represents a more typical trade in Greeley.Wyoming-based FirsTier Bank acquired the 7,680 SFasset from DS&K Investments for $850,000 in April. Theseller previously made capital improvements to theproperty and procured several tenants. The reported caprate was around 8.3%.

SALES VOLUME & MARKET SALE PRICE PER SF


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Sales Past 12 MonthsGreeley Office

37 8.2% $217 1.9%Sale Comparables Avg. Cap Rate Avg. Price/SF Avg. Vacancy At Sale

SALE COMPARABLE LOCATIONS

SALE COMPARABLES SUMMARY STATISTICS

Sales Attributes Low Average Median High

Sale Price $141,859 $3,428,055 $633,085 $32,250,000

Price Per SF $71 $217 $149 $315

Cap Rate 7.5% 8.2% 8.3% 8.7%

Time Since Sale in Months 2.0 6.3 6.4 11.9

Property Attributes Low Average Median High

Building SF 957 14,669 6,160 114,524

Stories 1 1 1 3

Typical Floor SF 957 6,104 6,000 16,762

Vacancy Rate At Sale 0% 1.9% 0% 100%

Year Built 1905 1984 1998 2014

Star Rating 2.6


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Sales Past 12 MonthsGreeley Office

Property Name - Address Rating Yr Built Bldg SF Vacancy Price Price/SF

Property

Sale Date

Sale

Cap Rate

RECENT SIGNIFICANT SALES

-1 Occidental2014 114,524 0% $32,250,000 $282

501 N Division Blvd9/23/2019 -

-2 1901 56th Ave1996 21,581 0% $3,000,000 $13911/14/2019 8.7%

-3 6222 W 9th St2004 9,636 0% $1,300,000 $13512/30/2019 -

-4 1813 61st Ave2007 3,759 0% $1,185,000 $31512/2/2019 -

-5 331 1st St1998 6,073 0% $945,630 $1561/6/2020 -

-6 Bldg 51983 7,680 19.8% $850,000 $111

3400 W 16th St4/25/2019 8.3%

-7 650 Glen Creighton Dr1998 5,309 0% $781,170 $1471/6/2020 -

-8 1931 65th Ave2003 4,497 0% $756,850 $1689/9/2019 -

-9 Hiland Park Office Comp…2005 2,671 0% $650,000 $243

1825 56th Ave1/30/2020 -

-10 1707 61st Ave2005 2,369 0% $640,000 $2705/13/2019 -

-11 4075 W 11th St1985 4,320 100% $485,000 $11212/26/2019 -

-12 3000 Airport Dr1980 2,500 0% $445,000 $1781/7/2020 -

-13 1815 65th Ave2004 2,362 0% $425,000 $1802/20/2020 -

-14 College Green2005 2,850 0% $425,000 $149

4665 W 20th St10/10/2019 -

-15 Hawe's Building1998 5,500 0% $425,000 $77

810-812 8th St7/25/2019 -

-16 8223-8225 20th St2005 3,062 65.7% $380,000 $1249/9/2019 -

-17 4645 W 18th St1993 2,482 0% $362,773 $1468/12/2019 -

-18 Huwa Building2008 2,082 0% $355,000 $171

39 S Parish Ave5/24/2019 -

-19 5 N Parish Ave1919 1,976 0% $338,000 $1718/30/2019 -

-17 4645 W 18th St1993 1,487 0% $317,227 $2138/12/2019 7.5%


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EconomyGreeley Office

The coronavirus pandemic is having an unprecedentedimpact on the national and local economies. Joblessclaims due to shutdowns are skyrocketing as stay-at-home orders force non-essential businesses to shutteracross the state. The health of commercial real estateand the economy virtually hinges on the mitigation effortsto slow the spread of the virus.

Fiscal and monetary stimulus was quickly enacted andshould provide a bridge for many people and businessesimpacted by the crisis, at least in the short-term. TheGovernor’s stay-at-home orders were extended throughApril 26, with the possibility of further extensions.

The last time oil prices fell this low in 2016, the localeconomy felt the impact. An oil price war between SaudiArabia and Russia caused prices to plunge to $20 abarrel in March, an 18-year low. Oil prices remain weakand demand has fallen off a cliff due to the coronavirusshock. In early April, the U.S. and Mexico agreed to cutoil production along with OPEC+, which should helpreduce volatility to a degree. We will be updating ouranalysis frequently as more information becomesavailable. The current report largely reflects theenvironment before the pandemic.

Greeley's economy returned to above-average growth inrecent quarters. Employment rose by more than 2.5% atthe end of 19Q4, outperforming the national average bymore than 100 basis points.

Recent oil price volatility is a major concern for Greeley.Nearly 6% of current non-farm jobs in the metro are innatural resources and mining employment, representing

the second-highest concentration of such jobs out of the200 largest metro areas. Four of the 10 largestemployers in the metro, Halliburton Energy Services,Noble Energy, Anadarko Petroleum, and Select EnergyServices (all based out of Houston, Texas), are oil andgas exploration and production companies.

Natural Resources, Mining and Construction jobsincreased by nearly 2% in 2019, outperforming thenational average. Solid job gains were also seen inindustries such as Education and Health Services,Leisure and Hospitality, and Professional and BusinessServices. Manufacturing jobs also continued to sustainmomentum despite slowing growth on a national level.

Over the last six years, the metro's population soared byroughly 15%, one of the fastest growth rates in the FrontRange, and more than three times the national average.Although population growth is down from earlier cyclicalhighs, at the end of 19Q4 the metro population wasgrowing nearly three times as fast as the nationalaverage.

Much of the explosive growth in the Greeley metro isoccurring in far southwest Weld County, near Longmont,and easily within commuting distance to central Boulder.Cities here such as Erie, Firestone, and Frederick eachsaw cumulative population growth of 22% or more overthe past six years, and residential development isexploding. The Southwest Weld County apartmentsubmarket illustrates the dramatic growth here: Themarket-rate apartment stock grew from less than 150units at the start of 2016, to over 1,500 units by year-end 2019.


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GREELEY EMPLOYMENT BY INDUSTRY IN THOUSANDS

NAICS Industry Jobs LQ MarketUS USMarketUSMarket

Current Jobs Current Growth 10 Yr Historical 5 Yr Forecast

-0.38%0.37%1.02%3.42%-0.99%1.29%1.514Manufacturing

0.05%0.67%1.16%3.77%-0.74%-0.09%0.919Trade, Transportation and Utilities

0.01%0.62%0.72%3.48%-1.05%-1.06%0.910 Retail Trade

0.33%0.77%1.28%0.41%0.77%0.96%0.75Financial Activities

0.49%1.34%0.11%1.41%1.29%1.29%1.018Government

0.15%0.50%2.89%9.37%0.86%5.66%3.522Natural Resources, Mining and Construction

0.76%0.50%2.15%2.58%2.59%1.02%0.611Education and Health Services

0.61%1.38%2.58%5.57%1.17%6.19%0.711Professional and Business Services

0.30%0.16%0.56%-2.57%1.19%-0.23%0.31Information

0.99%2.01%2.20%3.76%-2.42%-1.44%0.810Leisure and Hospitality

-0.02%0.80%1.02%3.10%0.49%2.43%0.94Other Services

Total Employment 111 1.0 -0.99% -2.62% 3.61% 1.20% 1.43% 0.95%

Source: Oxford Economics

LQ = Location Quotient


YEAR OVER YEAR JOB GROWTH


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DEMOGRAPHIC TRENDS

Current ChangeCurrent Level

Metro U.S.Metro U.S.Demographic Category

10-Year Change

Metro U.S. Metro U.S.

Forecast Change (5 Yrs)

Population 329,310,594323,343 1.8% 0.5% 2.5% 0.7% 1.5% 0.5%

Households 122,106,773110,861 1.7% 0.4% 2.4% 0.7% 1.5% 0.4%

Median Household Income $64,711$80,917 4.3% 3.3% 4.2% 2.6% 2.6% 2.9%

Labor Force 164,149,516170,691 1.4% 0.7% 2.7% 0.7% 1.0% 0.4%

Unemployment 3.7%2.5% -0.7% -0.1% -0.7% -0.6% - -


POPULATION GROWTH


LABOR FORCE GROWTH INCOME GROWTH


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SubmarketsGreeley Office

GREELEY SUBMARKETS


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SubmarketsGreeley Office

SUBMARKET INVENTORY

12 Month Deliveries Under Construction

Bldgs SF (000) Percent Rank

Inventory

Bldgs SF (000) Percent RankBldgs SF (000) % Market RankSubmarketNo.

1 Weld County 5,660 100% 1 1 24 0.4% 1590 3 25 0.4% 1

SUBMARKET RENT

Growth

Market Rent

Per SFSubmarketNo.

12 Month Market Rent QTD Annualized Market Rent

RankRank GrowthRank

1 Weld County 0.3%1 2.3% 1$19.40 1

SUBMARKET VACANCY & NET ABSORPTION

12 Month Absorption

Rank Construc. Ratio

Vacancy

SF % of InvSF PercentSubmarketNo. Rank

1 Weld County 183,828 3.2% -(20,985) -0.4% 11


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Supply & Demand TrendsGreeley Office

OVERALL SUPPLY & DEMAND

Net AbsorptionInventory

% of Inv Construction RatioSF SF Growth % Growth SFYear

2024 22,832 0.4% 0.9%50,701 0.55,737,622

2023 21,004 0.4% 1.4%77,698 0.35,714,790

2022 11,746 0.2% 0.9%53,355 0.25,693,786

2021 (1,525) 0% 0%1,023 -5,682,040

2020 35,077 0.6% -1.1%(62,894) -5,683,565

YTD 11,822 0.2% -0.6%(31,469) -5,660,310

2019 13,924 0.2% 0.9%51,956 0.35,648,488

2018 42,681 0.8% 0.7%37,993 1.15,634,564

2017 22,980 0.4% 0.5%26,833 0.95,591,883

2016 16,970 0.3% 1.8%99,804 0.25,568,903

2015 21,596 0.4% 0.9%52,471 0.45,551,933

2014 144,454 2.7% 3.5%195,173 0.75,530,337

2013 55,152 1.0% 1.0%56,066 1.05,385,883

2012 175,764 3.4% 4.7%252,882 0.75,330,731

2011 19,590 0.4% -0.9%(44,431) -5,154,967

2010 116,004 2.3% 2.4%124,928 0.95,135,377

2009 9,048 0.2% -0.6%(29,862) -5,019,373

2008 48,540 1.0% 0.3%15,825 3.15,010,325

4 & 5 STAR SUPPLY & DEMAND



2024 24,698 3.7% 3.3%23,057 1.1691,346

2023 22,905 3.6% 3.6%23,857 1.0666,648

2022 13,665 2.2% 1.9%12,492 1.1643,743

2021 368 0.1% -0.2%(1,548) -630,078

2020 11,822 1.9% 0.5%3,242 3.6629,710

YTD 11,822 1.9% 1.9%11,822 1.0629,710

2019 10,000 1.6% 1.6%10,000 1.0617,888

2018 0 0% -- -607,888

2017 0 0% -- -607,888

2016 0 0% 2.0%12,000 0607,888

2015 0 0% -- -607,888

2014 114,524 23.2% 18.8%114,524 1.0607,888

2013 36,000 7.9% 4.9%24,000 1.5493,364

2012 0 0% -- -457,364

2011 0 0% -- -457,364

2010 0 0% -- -457,364

2009 0 0% -- -457,364

2008 0 0% -- -457,364


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Supply & Demand TrendsGreeley Office

3 STAR SUPPLY & DEMAND



2024 0 0% 0.5%13,316 02,449,747

2023 0 0% 1.1%25,791 02,449,747

2022 0 0% 0.9%20,829 02,449,747

2021 0 0% 0.4%9,624 02,449,747

2020 24,000 1.0% -0.2%(6,098) -2,449,747

YTD 0 0% -0.7%(15,805) -2,425,747

2019 3,924 0.2% 1.5%36,755 0.12,425,747

2018 42,681 1.8% 0.5%13,141 3.22,421,823

2017 18,980 0.8% 0.5%11,555 1.62,379,142

2016 16,970 0.7% 3.8%89,972 0.22,360,162

2015 21,596 0.9% 0.1%2,681 8.12,343,192

2014 18,460 0.8% 1.6%37,211 0.52,321,596

2013 14,193 0.6% 0.5%12,300 1.22,303,136

2012 178,777 8.5% 10.1%231,831 0.82,288,943

2011 14,438 0.7% -1.2%(24,390) -2,110,166

2010 123,112 6.2% 6.1%126,934 1.02,095,728

2009 0 0% -1.2%(23,010) -1,972,616

2008 49,640 2.6% 3.2%62,615 0.81,972,616

1 & 2 STAR SUPPLY & DEMAND



2024 (1,866) -0.1% 0.6%14,328 -2,596,529

2023 (1,901) -0.1% 1.1%28,050 -2,598,395

2022 (1,919) -0.1% 0.8%20,034 -2,600,296

2021 (1,893) -0.1% -0.3%(7,053) -2,602,215

2020 (745) 0% -2.3%(60,038) -2,604,108

YTD 0 0% -1.1%(27,486) -2,604,853

2019 0 0% 0.2%5,201 02,604,853

2018 0 0% 1.0%24,852 02,604,853

2017 4,000 0.2% 0.6%15,278 0.32,604,853

2016 0 0% -0.1%(2,168) -2,600,853

2015 0 0% 1.9%49,790 02,600,853

2014 11,470 0.4% 1.7%43,438 0.32,600,853

2013 4,959 0.2% 0.8%19,766 0.32,589,383

2012 (3,013) -0.1% 0.8%21,051 -2,584,424

2011 5,152 0.2% -0.8%(20,041) -2,587,437

2010 (7,108) -0.3% -0.1%(2,006) -2,582,285

2009 9,048 0.4% -0.3%(6,852) -2,589,393

2008 (1,100) 0% -1.8%(46,790) -2,580,345


Page 20

Rent & VacancyGreeley Office

OVERALL RENT & VACANCY

Market Rent

Per SF Index % Growth Vs Hist PeakYear

Vacancy

SF Percent Ppts Chg

2024 110 2.2% 3.2%$19.96 112,620 2.0% -0.5%

2023 108 1.6% 1.0%$19.53 139,862 2.4% -1.0%

2022 106 3.1% -0.6%$19.23 195,899 3.4% -0.7%

2021 103 6.1% -3.6%$18.65 236,823 4.2% 0%

2020 97 -9.1% -9.1%$17.58 238,675 4.2% 1.7%

YTD 107 0.3% 0.3%$19.40 183,828 3.2% 0.8%

2019 107 2.9% 0%$19.34 140,537 2.5% -0.7%

2018 104 4.2% -2.8%$18.79 178,569 3.2% 0.1%

2017 100 4.5% -6.8%$18.03 173,881 3.1% -0.1%

2016 95 2.4% -10.8%$17.25 177,734 3.2% -1.5%

2015 93 4.1% -12.9%$16.84 260,568 4.7% -0.8%

2014 89 5.9% -16.4%$16.17 303,263 5.5% -1.1%

2013 84 -1.7% -21.0%$15.27 353,982 6.6% -0.1%

2012 86 0.4% -19.7%$15.53 354,896 6.7% -1.7%

2011 85 -2.3% -20.0%$15.47 432,014 8.4% 1.2%

2010 87 -5.1% -18.1%$15.83 367,993 7.2% -0.3%

2009 92 -7.8% -13.7%$16.69 376,917 7.5% 0.8%

2008 100 -0.3% -6.4%$18.10 338,007 6.7% 0.6%

4 & 5 STAR RENT & VACANCY

Market Rent


Vacancy

SF Percent Ppts Chg

2024 128 2.1% 3.3%$30.84 12,316 1.8% 0.2%

2023 126 1.5% 1.2%$30.21 10,687 1.6% -0.2%

2022 124 3.1% -0.3%$29.76 11,650 1.8% 0.1%

2021 120 6.3% -3.3%$28.85 10,492 1.7% 0.3%

2020 113 -9.0% -9.0%$27.15 8,580 1.4% 1.4%

YTD 125 0.3% 0.3%$29.94 0 0% 0%

2019 124 2.0% 0%$29.85 0 0% 0%

2018 122 6.5% -2.0%$29.26 0 0% 0%

2017 114 4.6% -7.9%$27.48 0 0% 0%

2016 109 0.2% -12.0%$26.28 0 0% -2.0%

2015 109 2.1% -12.1%$26.22 12,000 2.0% 0%

2014 107 4.9% -14.0%$25.67 12,000 2.0% -0.5%

2013 102 -0.1% -18.0%$24.48 12,000 2.4% 2.4%

2012 102 5.0% -17.9%$24.51 0 0% 0%

2011 97 -2.5% -21.8%$23.34 0 0% 0%

2010 100 2.1% -19.8%$23.94 0 0% 0%

2009 98 -2.4% -21.4%$23.45 0 0% 0%

2008 100 6.3% -19.5%$24.02 0 0% 0%


Page 21

Rent & VacancyGreeley Office

3 STAR RENT & VACANCY

Market Rent


Vacancy

SF Percent Ppts Chg

2024 109 2.2% 3.2%$22.62 48,240 2.0% -0.5%

2023 106 1.6% 1.0%$22.13 61,556 2.5% -1.1%

2022 105 3.1% -0.6%$21.78 87,347 3.6% -0.9%

2021 102 6.1% -3.6%$21.13 108,176 4.4% -0.4%

2020 96 -9.1% -9.1%$19.92 117,800 4.8% 1.2%

YTD 106 0.4% 0.4%$21.99 103,510 4.3% 0.7%

2019 105 3.9% 0%$21.91 87,705 3.6% -1.4%

2018 101 4.3% -3.8%$21.08 120,536 5.0% 1.2%

2017 97 4.6% -7.8%$20.21 90,996 3.8% 0.3%

2016 93 2.9% -11.8%$19.33 83,571 3.5% -3.1%

2015 90 7.4% -14.3%$18.78 156,573 6.7% 0.2%

2014 84 5.3% -20.2%$17.49 149,478 6.4% -0.9%

2013 80 -0.6% -24.2%$16.61 168,229 7.3% 0%

2012 80 -0.7% -23.8%$16.71 166,336 7.3% -3.1%

2011 81 1.9% -23.2%$16.83 219,390 10.4% 1.8%

2010 79 -10.0% -24.6%$16.52 180,562 8.6% -0.7%

2009 88 -11.7% -16.3%$18.35 184,384 9.3% 1.2%

2008 100 -3.2% -5.1%$20.79 161,374 8.2% -0.9%

1 & 2 STAR RENT & VACANCY

Market Rent


Vacancy

SF Percent Ppts Chg

2024 105 2.2% 3.2%$14.83 52,064 2.0% -0.6%

2023 103 1.6% 0.9%$14.51 67,619 2.6% -1.1%

2022 101 3.1% -0.6%$14.28 96,902 3.7% -0.8%

2021 98 6.1% -3.6%$13.85 118,155 4.5% 0.2%

2020 92 -9.1% -9.1%$13.06 112,295 4.3% 2.3%

YTD 102 0.3% 0.3%$14.42 80,318 3.1% 1.1%

2019 102 1.9% 0%$14.37 52,832 2.0% -0.2%

2018 100 3.0% -1.8%$14.11 58,033 2.2% -1.0%

2017 97 4.4% -4.8%$13.69 82,885 3.2% -0.4%

2016 93 2.8% -8.8%$13.11 94,163 3.6% 0.1%

2015 90 0.9% -11.3%$12.75 91,995 3.5% -1.9%

2014 89 7.3% -12.0%$12.64 141,785 5.5% -1.3%

2013 83 -3.8% -18.0%$11.78 173,753 6.7% -0.6%

2012 87 -0.3% -14.8%$12.25 188,560 7.3% -0.9%

2011 87 -7.1% -14.5%$12.29 212,624 8.2% 1.0%

2010 94 -1.9% -8.0%$13.23 187,431 7.3% -0.2%

2009 95 -4.6% -6.2%$13.49 192,533 7.4% 0.6%

2008 100 1.5% -1.7%$14.13 176,633 6.8% 1.8%


Page 22

Sale TrendsGreeley Office

OVERALL SALES

Completed Transactions (1)

Turnover Avg Price/SFDeals VolumeYear

Market Pricing Trends (2)

Avg Price Price IndexAvg Cap Rate Price/SF Cap Rate

2024 -- - -- 163- $190.07 8.2%

2023 -- - -- 160- $187.16 8.1%

2022 -- - -- 156- $182.23 8.2%

2021 -- - -- 146- $170.62 8.5%

2020 -- - -- 147- $171.92 8.5%

YTD $3.6M7 0.5% $165.32$680,600 163- $190.51 7.9%

2019 $54.6M39 7.1% $198.07$2,739,808 1498.1% $173.90 8.2%

2018 $38.3M53 7.5% $100.66$797,284 1457.8% $169.77 8.2%

2017 $18.9M37 4.2% $93.53$634,290 1417.0% $165.09 8.1%

2016 $52.9M39 6.3% $156.54$1,643,626 1368.1% $158.18 8.2%

2015 $16M47 6.7% $57.89$538,215 1308.6% $151.84 8.3%

2014 $139.8M54 20.0% $140.63$3,301,565 1247.3% $145.06 8.4%

2013 $92.9M40 15.5% $119.99$3,394,511 1159.9% $133.75 8.7%

2012 $20.6M24 3.4% $131.82$1,400,929 1108.9% $128.59 9.0%

2011 $5.4M27 2.9% $70.15$473,670 1059.1% $122.21 9.3%

2010 $35.2M13 3.5% $200.91$4,828,429 969.2% $112.39 9.9%

2009 $3.3M6 0.9% $72.11$694,690 85- $99.77 10.8%

(1) Completed transaction data is based on actual arms-length sales transactions and levels are dependent on the mix of what happened to sell in the period.

(2) Market price trends data is based on the estimated price movement of all properties in the market, informed by actual transactions that have occurred.

4 & 5 STAR SALES





2024 -- - -- 148- $323.00 7.6%

2023 -- - -- 146- $318.46 7.6%

2022 -- - -- 142- $310.29 7.7%

2021 -- - -- 133- $290.25 8.0%

2020 -- - -- 134- $292.03 8.0%

YTD -- - -- 149- $323.46 7.4%

2019 $32.2M1 18.5% $281.60$32,250,000 147- $320.32 7.4%

2018 -- - -- 144- $313.91 7.4%

2017 -- - -- 140- $304.03 7.3%

2016 -- - -- 135- $294.20 7.3%

2015 -- - -- 131- $284.82 7.3%

2014 $60.8M3 75.2% $132.94$20,266,662 125- $271.27 7.4%

2013 $53.1M3 92.7% $116.07$17,696,000 116- $253.30 7.7%

2012 -- - -- 112- $243.41 7.8%

2011 -- - -- 108- $235.85 8.0%

2010 -- - -- 99- $214.76 8.6%

2009 -- - -- 87- $188.38 9.5%




Page 23

Sale TrendsGreeley Office

3 STAR SALES





2024 -- - -- 161- $224.20 7.8%

2023 -- - -- 159- $220.75 7.8%

2022 -- - -- 155- $214.84 7.8%

2021 -- - -- 145- $200.86 8.2%

2020 -- - -- 146- $202.47 8.2%

YTD $2.4M3 0.6% $169.13$863,400 162- $225.06 7.6%

2019 $13.6M23 7.9% $156.49$1,286,786 1468.1% $202.45 7.9%

2018 $25.6M22 9.1% $130.18$1,406,667 1427.5% $197.89 7.8%

2017 $8.1M11 3.1% $149.13$1,578,340 1397.0% $193.69 7.7%

2016 $28.1M16 4.6% $288.05$3,262,584 133- $185.43 7.8%

2015 $8.7M14 7.5% $62.99$1,104,714 1289.1% $177.74 7.9%

2014 $67.3M14 15.8% $195.48$6,714,208 1227.3% $169.48 8.0%

2013 $24.6M16 8.6% $132.07$2,380,352 113- $157.68 8.3%

2012 $16.1M9 3.8% $198.54$5,033,000 1108.9% $153.26 8.4%

2011 $1.5M16 4.0% $100.67$1,000,000 104- $144.65 8.8%

2010 $33.9M8 7.5% $221.36$10,833,667 959.2% $132.42 9.4%

2009 $970K3 0.4% $124.44$440,000 85- $118.16 10.3%



1 & 2 STAR SALES





2024 -- - -- 176- $125.76 8.6%

2023 -- - -- 173- $123.77 8.6%

2022 -- - -- 169- $120.54 8.6%

2021 -- - -- 159- $113.20 9.0%

2020 -- - -- 160- $114.10 9.0%

YTD $1.2M4 0.5% $158.17$315,000 176- $125.82 8.4%

2019 $8.8M15 3.6% $117.82$805,904 156- $111.60 8.8%

2018 $12.7M31 7.7% $69.02$458,739 1528.8% $108.43 8.8%

2017 $10.8M26 6.3% $73.17$437,613 147- $104.55 8.7%

2016 $24.9M23 9.3% $103.29$1,080,510 1408.1% $99.63 8.8%

2015 $7.3M33 7.5% $52.83$339,940 1347.5% $95.28 8.9%

2014 $11.7M37 10.7% $60.74$369,782 128- $91.55 9.0%

2013 $15.2M21 6.8% $116.47$1,054,305 1159.9% $82.30 9.5%

2012 $4.5M15 3.7% $60.04$410,364 109- $77.57 9.7%

2011 $3.9M11 2.6% $62.98$415,189 1039.1% $73.60 10.1%

2010 $1.3M5 0.9% $58.88$324,500 96- $68.77 10.6%

2009 $2.3M3 1.5% $61.40$779,587 86- $61.02 11.7%




Page 24

greeley q1 2020€¦ · 22/4/2020 · office market report market key statistics 2 leasing 3 rent...

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